It has been a long time since India has been trying to come with a proper stance on the issues of cryptocurrency. The ‘draft bill’ that was submitted called for the total banning of digital assets. This news was circulated extensively through social media and stunned the entire crypto community as the regulatory bodies are yet to clarify its position on the matter. As per the proposed Banning Cryptocurrencies and Regulation of Official Digital Currency Bill 2019, mining, trading or owning cryptocurrency in India is illegal and can result in a penalty of up to 10 years in jail.
The Indian cryptocurrency ecosystem is currently on hold due to a distinct lack of transparency in the regulatory climate. As per a report by ET, government departments in the country were aware and very much in support of the circulated draft.
Nischal Shetty, who is the CEO of WazirX, a Mumbai-based cryptocurrency exchange, in a recent tweet, insisted that regulations in the cryptocurrency sector are of prime importance and a blanket blank according to him will only help in stimulating money laundering. Shetty’s tweet comes at a time when cryptocurrency exchanges were geo-blocking/geo-fencing certain regions to ensure compliance with the native regulations, His tweet read,
Dear @nsitharaman @narendramodi, Ban is the opposite of what India wants to achieve. Hence US & EU aren’t banning it#IndiaWantsCrypto
The CEO also was hopeful about the much-hyped Facebook cryptocurrency which, according to him, is a “game changer”, and will help in fostering mass adoption by firms on a global level and India would not want to be left behind. The narrative of “blockchain and not cryptocurrency” in the country is flawed, Shetty said in another tweet.